Nigeria Receives $2.02bn from Shell in 2025, New Report Shows
A breakdown of the figures showed that Nigeria received $1.237 billion in production entitlements, making it the largest component of the company’s payments in the country during the period. Royalties accounted for $454.03 million, while taxes contributed $236.99 million. An additional $84.82 million was paid as statutory fees.
The report forms part of Shell’s annual transparency disclosure, which details payments across 26 countries where the company maintains upstream oil and gas operations. It is the eleventh edition published under United Kingdom regulations governing extractive industry reporting.
Globally, Shell stated that it paid about $17 billion to governments in 2025, including $12 billion in corporate income taxes and roughly $5 billion in royalties and production-related taxes.
The company explained that the publication complies with the UK Reports on Payments to Governments Regulations 2014, designed to enhance transparency in the extractive sector in line with international accountability standards.
According to Shell, the report provides a consolidated breakdown of all payments made by its subsidiaries for activities related strictly to exploration, development, and extraction of oil, gas, and mineral resources. It excludes downstream operations such as refining and gas liquefaction.
Under the reporting framework, production entitlements refer to the host government’s share of output from oil and gas projects operated under production-sharing contracts and similar arrangements. Royalties are payments made for the right to extract resources, typically calculated as a percentage of production value, while taxes cover income and petroleum-related obligations.
Shell also noted that where applicable, payments are disclosed on a project-by-project basis to strengthen accountability in resource governance.
Shell plc remains one of the major international oil operators in Nigeria, with significant interests spanning onshore fields, shallow water assets, and deepwater developments through joint ventures and production-sharing agreements.
